United Kingdom vs Hong Kong SAR Corporate Tax Comparison

1. Companies with profits exceeding £250,000 are subject to a main rate of 25% (effective from 1 April 2023).
2. Companies with profits not exceeding £50,000 are subject to a small profits rate of 19% (effective from 1 April 2023).
3. A tapered tax rate applies to profits falling between £50,000 and £250,000.

Corporations: 8.25% on the first HKD 2 million of assessable profits and 16.5% on the remainder; unincorporated businesses: 7.5% on the first HKD 2 million and 15% on the remainder.

Tax returns need to be submitted within one year after the end of the accounting period.

The tax return forms are typically released on the first working day of April each year. The filing deadline is usually within one month from the day the forms are released. Certain companies (e.g., those with a fiscal year ending on December 31) may have an extended filing deadline, typically until August 15 of the year the forms are released, and in certain circumstances (e.g., electronic filing), extensions may be granted.

According to the scale of the payment company, there may be differences. For more information, please refer to the UK company summary.

For companies with a fiscal year ending on December 31st, the final tax payment for a specific tax year is typically due in November of the year when the tax return is filed.

According to the scale of the payment company, there may be differences. For more information, please refer to the UK company summary.

For companies with a fiscal year ending on December 31st, interim taxes for a specific tax year will be paid in two installments, typically due in November of the current year and January of the following year.